Games as Investments Today - Not Seeing It...

[NayusDante]

So let's look at something here: Games retail for $50-60 at release. From there, retail prices go down. With retail prices, second hand market value goes down accordingly. When production runs end and stores sell out, second hand market value goes up again.

The problem here is that games rarely increase in value beyond original retail price, unless they're limited editions or had a low print run to begin with.

Are games just that mass-produced today that they don't hold their value? Has GameStop killed the pricing structure with their used prices that continually drop?

I'm seriously wary of buying new games at full retail, because I KNOW that they're not going to be worth anything in a year. Essentially, I'm throwing away the $40 difference in value just to play the game before the price goes down.

I'm beginning to think that the age of collectors is over, and that modern gaming is "just for fun."

[Vectorman0]

This is the way it has always been. Not many people around here care about their games going up in value. Though it can be disappointing to see the value of something fall.

[intvsama]

Once again, the conservative, sandwich-heavy portfolio pays off for the hungry investor!

[Dangerboy]

Also, and this is just me, but I didn't track down an entire 1300 game library for a single system, because I thought I could sell it for billions years down the round. I bought it because I wanted it.

Trying to use video games as an investment is no less / more psychotic than trying to predict stocks and the like.

A game's worth is only tangible by the desire to want it. FF7 was a mass produced game that still sells for higher than original price point, but then you have a limited release demo of an unreleased game like Titan A.E. that you can't give away.

Also, games have been $50 to 100 since the dawn of gaming. They are the only item in retail history to keep their price point regardless of inflation.

[p_b]

I'm beginning to think that the age of collectors is over, and that modern gaming is "just for fun."

I don't think the people who collect NES games for example started doing this because it's an investment. I'd assume a lot of them played those games when they were kids. Gaming has always primarily been about fun.

[otoko]

Wait... what...

Money?

[NayusDante]

From a collector's point of view, the price situation is more in our favor. I don't have a problem with that.

What bothers me is that we're punished for following gaming as it happens.

[fpbrush]

From a collector's point of view, the price situation is more in our favor. I don't have a problem with that.

What bothers me is that we're punished for following gaming as it happens.

I think I know what you are talking about NayusDante. I was thinking about this the other day. I realized I haven't bought a "new" game in...forever, really. I won't buy a "current-gen" system usually until it's on the way out--so I can get it at an affordable price point. But I'm not sure if this is the fault of GS really, but more just on the "collectors" mentality. Alot of us, because of the volume of games we want vs the money we have, opt for buying cheaper, older games (I know I do). But, I really do think it's something to balance... because of course something is going to be more expensive when it's "hot" or new. But, it's not a sin to pay more for it when it's at it's prime, than later. Infact, I think it's more than ok--because isn't that what we did at kids? And that's part of some of the memories we cherish, even if it's a little "foolish", moneywise...

[eskobar]

You can invest in video games .... there are many ways to do that, but if you want to buy a 10 usd game that can sell for 50 or 100 in 5 years you have a lazy investment, for example :

Hypothetically speaking : You buy a 20 usd game ... you can try to sell that game for 25 usd (after fees) on a variety of plataforms like ebay or similar.

If you manage to sell that game in 25, you have 5 usd profit ... let's say that you take 1 month to sell that game and you reinvest the 20 usd every time you sell a game.

You can get 5 usd for month or 60 usd profit a year for one single game .... do the math. It's much more profitable to sell a game quick for small profit than keeping it in a box for years.

If you see video games as an investment you can make profit with new or used games, obviously you cannot double the price for a game in one month, but do not be fooled if you have $1 or $5 as a profit, you need to see it from an economic point of view.

I love to purchase games as they are out in retail shelves because i am a gamer and i know the costs involved in the production of a video game ... collecting is fun but do not forget the real joy in gaming

[mailman187666]

as far as buying games when they come out brand new, the only way to retain any value out of it is to leave it sealed (thats if it retains any value) or wait until it becomes last gen, or even older and make your purchases according to current 2nd hand market value later on down the road. I know I bought a bunch of the Metal Gear solid 3: LE for $40 brand new and were selling them for $120. Thats because of low print run. The only way a game like say Folklore for PS3, for example, to retain value is if you wait about 6+ years and buy it used, and hope you got it for substantially less than what the market value would be.

[evil_genius]

I collect because there is a part of me that loves it. I am probably keeping this inner child happy but that is a different conversation. I think 99% of the people here are just like me in that sense. But I will admit if one day I decide to sell and I find out my stuff is worth a small fraction of what it used to be I am afraid I will be pissed.

[megasdkirby]

So let's look at something here: Games retail for $50-60 at release. From there, retail prices go down. With retail prices, second hand market value goes down accordingly. When production runs end and stores sell out, second hand market value goes up again.

The problem here is that games rarely increase in value beyond original retail price, unless they're limited editions or had a low print run to begin with.

Remember one other factor: demand. As demand raises for a particular game, so will it's price. We all have seen the ridiculous price of Final Fantasy and Silent Hill, two super common titles. It's all because of demand that it's price is high, not rarity factor.

Also, a game that is of high value is because people want it, thus it's demand once more. If a game that only had a print run of only 10 copies, but no one wanted it, you could find it really, REALLY cheap.


I'm seriously wary of buying new games at full retail, because I KNOW that they're not going to be worth anything in a year. Essentially, I'm throwing away the $40 difference in value just to play the game before the price goes down.

Reason why I never, or should I say, almost never buy games at full, retail price when released. What for, if in a few months it will be much lower? I rather get six $10 games than one $60 game.


I'm beginning to think that the age of collectors is over, and that modern gaming is "just for fun."

Also remember that back then is very similar to now. Games might be easy to obtain, but that won't be true 20-30 years from now. A game you paid only $2 can easily fetch $1,000 or more (as in the case of Condor Attack) in a few years.

[eskobar]

Reason why I never, or should I say, almost never buy games at full, retail price when released. What for, if in a few months it will be much lower? I rather get six $10 games than one $60 game.


I think that many companies still have the ability to sell one game at $49.99 or $59.99 in mass.

The "fun factor" of video games does not increase with the price, you can have so much fun playing Final Fantasy VIII that costs less than $20 usd as you have fun playing Folklore that costed $59.99 usd when it came out.

I buy new games to have new experiences or at least i want to...

I just cannot wait a few weeks to buy a game for less, that would kill the industry.

[megasdkirby]

I just cannot wait a few weeks to buy a game for less, that would kill the industry.

I would buy games when released if I had money, and plenty of it. If money wasn't an issue, I would get games immediately when released.

However, this is not the case. I need to squeeze as much as possible. If that means waiting months or years for a game to reduce in price, so be it. Also I like waiting, as I can get more games for the same amount of only a few games. More fun and better for my collection.

Besides, the funfactor of a game won't diminish as time passes by. A game that is fun now will be fun one to two years from now.

[fpbrush]

The "fun factor" of video games does not increase with the price, you can have so much fun playing Final Fantasy VIII that costs less than $20 usd as you have fun playing Folklore that costed $59.99 usd when it came out.



I would buy games when released if I had money, and plenty of it. If money wasn't an issue, I would get games immediately when released.

However, this is not the case. I need to squeeze as much as possible. If that means waiting months or years for a game to reduce in price, so be it. Also I like waiting, as I can get more games for the same amount of only a few games. More fun and better for my collection.


This is the "collector's mentality" or "collector's rationale" that I was talking about in my post. That as collectors, we almost ALWAYS choose having more games over having newer games. This is further fueled by large groups (which we most of us are probably a part of, haha) saying old games > new games.



Besides, the funfactor of a game won't diminish as time passes by. A game that is fun now will be fun one to two years from now.

For most of us here, this is true, but eskobar makes a good point I feel...



I buy new games to have new experiences or at least i want to...


To the collector or appreciator of classic videogames, games don't get less "fun" with time, but I do believe some of that initial magic is lost--at least for me. Because it's not only about unique gameplay but truly experiencing something "new". I think alot of the collecting community can be overly cynical when evaluating new games. Madden doesn't sell as much as it does because it's a terrible game and the majority of the gaming populous are bubbling idiots. It's because with each gen, the series has consistently provided new experiences to it's niche--football simulation. The new experience is what drew many of us to games at the beginning, and then fueled us from gen to gen.

Hopefully I didn't take this too off course...

[Cornelius]

I don't do a whole lot of current gen gaming, but here's the strategy I use when I do: Wait a couple weeks or a month after release, then buy it used off eBay or the like and try to get an above average deal. Play the game. Since most don't really take all that long, when I'm done I evaluate my opinion of it (and its condition). If it is too good to give up, keep. If not, re-sell on eBay. Odds are within that time the price won't have dropped much since I've waited past that initial price plunge, if at all, so I've only lost a little (fees, shipping, etc). Then wait and pick it back up when it gets really cheap or the next gen comes out.

This is a little tough on the collector part of my brain, but the gamer and cheapskate parts dig it.

[TheRealist50]

I have games to collect, look at, play and remember my youth. Buy the games and consoles I wanted when I was little but couldn't afford. I couldn't afford much when I was younger, we didn't have a whole lot of money.

I collect sports cards for value, games for everything else.

[darkslime]

I buy a combination of new and old games.

When buying new, I will usually only buy the games I really want around release (Persona 4 and mirror's edge being the next one), and shop around even for those. I know their values will drop, but they will probably give me a lot of enjoyment, and that's a good investment.

For old games I won't pay ebay or store values. I want to build up my SNES collection and am missing a lot of commmons, but can't seem to justify spending the $10-30 they cost when I could go and get a new game for the cost of two of those, so I stick to garage sales/swap meets etc for old games.

The only way games would be an investment would be accidental. No one thought that FFVII would be an investment because they were so mass produced. So just buy the games you enjoy IMO unless they're really cheap because games are almost never an investment and their worth is unpredictable.

[murdoc rose]

the reason you pay 50 bucks for a new game is so u can play it

[Cobra Commander]

Not that I do it as often as I like, but there's something cool about buying a game the day it comes out. I love the feel opening a new game. Seriously....there's nothing like it.